By Jon Peterson
Los Angeles-based CIM Group has paid $123 million to acquire the 143,000 square foot 55 Hawthorne office building in San Francisco, according to sources that track the sale off office buildings in San Francisco. At that price point, the per square foot number comes to $860.
The seller of the property was a partnership of Atlanta-based Invesco Real Estate and Emeryville-based Harvest Properties. They had purchased the building in July of 2014 for approximately $550 per square foot, or $77 million, according to sources that were familiar with the transaction. At the time, the joint venture purchased the asset together with the adjacent property, 631 Howard Street. Jointly, the buildings make up an office development known as Howard Hawthorne.
The listing agent on the most recent sale was the San Francisco office of JLL through its capital markets team. This included Erik Hanson, Rob Hielscher and Michel Seifer. JLL declined to comment when contacted for this story.
The sale included the office building and the property’s five-level, 348-space parking garage that is affiliated with the building. The Property is one block from the Second Street Technology Corridor and just a few blocks from the Transbay neighborhood.
55 Hawthorne Street was completed in 1970 and is an 11-story office tower that features 17,000 square foot floor plates. In October of 2014, the companies announced that they have signed Yelp to a 102,324 square foot lease, occupying nearly three quarters of the building. Yelp has an option to expand by another 34,000 square feet by 2018, according to a statement issued at the time. Other tenants at 55 Hawthorne Street include Dell and the Greater Bay Area Make-A-Wish Foundation
All of the renovations had been completed by the sellers. At the time of the sale, there were no vacancies in the property.